Overall Budget Management Of Listed Companies

In modern management practice, budget is a basic tool that is adopted by those global companies listed in FORTUNE 500. With new theories used, especially the theory of managing the value of the company and the theory of the balanced scorecard, traditional financial budget has been developed into total budgetary management (abstracted as TBM), which provides a way by which the strategic objectives of a company can be pervaded into all aspects of its operations.First of all, this thesis discloses the relationship between the budget and enterprise strategy through defining the concept of TBM. And then, I introduce the main contents of two theories named Managing the Value of Company (abstracted as MVC) and The Balanced Scorecard (abstracted as BS), which directly support my opinion that the substance of the TBM is to control operations of a company to realize its strategic objectives by using the updated budget. The ways by which how traditional financial budget is converted into TBM are shown at the end of the thesis.